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Culture, Relationship Norm, and Dual Entitlement 文化、关系规范和双重权利
Pub Date : 2018-05-26 DOI: 10.1093/JCR/UCX118
H. Chen, Lisa E. Bolton, Sharon Ng, Dongwon Lee, Dian Wang
According to the dual entitlement principle, consumers find it fair for firms to price asymmetrically to cost changes, that is, increasing prices when costs increase but maintaining prices when costs decrease. However, we conduct a meta-analysis revealing that asymmetric pricing is less prevalent in collectivistic (vs. individualistic) countries (study 1). We propose a fairness-based explanation, demonstrating that interdependent consumers in collectivistic cultures perceive asymmetric pricing to be less fair than do independent consumers in individualistic cultures (studies 2A-2C, 4 and 5). We attribute this cultural variation in the endorsement of dual entitlement to culture-specific relationship norms. Specifically, we argue that while the practice of asymmetric pricing is consistent with the exchange norms among independent consumers that emphasize self-interest pursuit, it is inconsistent with the communal norms among interdependent consumers mandating firm benevolence. Supporting this argument, we find that (a) directly manipulating communal (vs. exchange) norms yields similar differences in fairness perceptions that mimics those due to culture (studies 3 and follow-ups), (b) the cultural differences are mediated by the communal mandate for firm benevolence (study 4), and (c) the cultural differences are mitigated when a firm frames asymmetric pricing as benevolent (study 5). We conclude by discussing the theoretical and managerial implications of these findings for dual entitlement and asymmetric pricing, as well as for the role of culture in buyer-seller relationships and price fairness.
根据双重权利原则,消费者认为企业对成本变化进行不对称定价是公平的,即成本增加时提高价格,成本降低时保持价格。然而,我们进行了一项元分析,揭示了不对称定价在集体主义(与个人主义)国家中不那么普遍(研究1)。我们提出了一种基于公平的解释,表明集体主义文化中相互依赖的消费者比个人主义文化中的独立消费者认为不对称定价更不公平(研究2A-2C,4和5)。我们将这种对双重权利认可的文化差异归因于文化特有的关系规范。具体而言,我们认为不对称定价的实践与强调自利追求的独立消费者之间的交换规范是一致的,但与要求企业仁慈的相互依赖的消费者之间的公共规范是不一致的。为了支持这一论点,我们发现(a)直接操纵社区(相对于交换)规范会产生类似的公平感知差异,这种差异模仿了文化(研究3和后续研究),(b)文化差异是由社区对坚定仁慈的授权所调解的(研究4)。(c)当企业将不对称定价视为善意时,文化差异会得到缓解(研究5)。最后,我们讨论了这些发现对双重权利和不对称定价的理论和管理意义,以及文化在买卖双方关系和价格公平中的作用。
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引用次数: 31
Price Determinism in Specialized Producing Economy 专业生产经济中的价格决定论
Pub Date : 2018-05-05 DOI: 10.2139/ssrn.3501805
Yirui Wang
In an economy with n kinds of products, producers are specialized to produce one kind of product and exchange for the others. Exchange matrix A consists of supplies and demands. Price vector p is the solution of Ap = 0.When R(A) = n – 1, the price is determined given total money amount. When R(A) = n – m, the economy can be divided into m sub-economies with no exchange of products between any two of them. In each sub-economy the price is determined.
在有n种产品的经济中,生产者专门生产一种产品并交换其他产品。交换矩阵A由供给和需求组成。价格向量p是Ap = 0的解。当R(A) = n - 1时,价格是给定总金额的。当R(A) = n - m时,经济可以分为m个子经济体,其中任何两个子经济体之间没有产品交换。在每个子经济体中,价格都是确定的。
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引用次数: 0
Pricing of Complements in the U.S. Freight Railroads: Cournot Versus Coase 美国货运铁路补品定价:古诺与科斯
Pub Date : 2018-04-03 DOI: 10.2139/ssrn.3165072
A. Alexandrov, R. Pittman, Olga Ukhaneva
Monopolists selling complementary products charge a higher price in a static equilibrium than a single multiproduct monopolist would, reducing both the industry profits and consumer surplus. However, firms could instead reach a Pareto improvement by lowering prices to the single monopolist level. We analyze administrative nationally-representative pricing data of railroad coal shipping in the U.S. We compare a coal producer that needs to ship from A to C, with the route passing through B, in two cases: (1) the same railroad owning AB and BC and (2) different railroads owning AB and BC. We do not find that price in case (2) is higher than price in case (1), suggesting that the complementary monopolist pricing inefficiency is absent in this market. For our main analysis, we use a specification consistent with the previous literature; however, our findings are robust to propensity score blocking and machine learning algorithms. Finally, we perform a difference-in-differences analysis to gauge the impact of a merger that made two routes wholly-owned (switched from case 2 to case 1), and these results are also consistent with our main findings. Our results have implications for vertical mergers, tragedy of the anticommons, mergers of firms selling complements, and royalty stacking and patent thickets.
在静态均衡中,销售互补产品的垄断者比单一多产品垄断者收取更高的价格,从而减少了行业利润和消费者剩余。然而,企业可以通过将价格降低到单一垄断者的水平来达到帕累托改进。我们分析了美国具有全国代表性的铁路煤炭运输的行政定价数据。我们比较了需要从a运输到C的煤炭生产商,路线经过B,在两种情况下:(1)同一条铁路拥有AB和BC,(2)不同的铁路拥有AB和BC。我们没有发现情形(2)的价格高于情形(1)的价格,说明该市场不存在互补性垄断定价无效率。对于我们的主要分析,我们使用与先前文献一致的规范;然而,我们的发现对于倾向评分阻塞和机器学习算法是稳健的。最后,我们进行了差异中的差异分析,以衡量使两条路线完全拥有的合并的影响(从案例2切换到案例1),这些结果也与我们的主要发现一致。我们的研究结果对垂直合并、反公地悲剧、出售互补产品的公司合并、特许权使用费堆叠和专利丛林具有启示意义。
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引用次数: 4
The Impact of Price Anchoring on Consumers' Valuation of Digital Goods 价格锚定对消费者对数字商品估值的影响
Pub Date : 2018-03-14 DOI: 10.2139/ssrn.3157629
Geneviève Bassellier, Jui Ramaprasad
This study examines the role of reference prices as set by different sources in influencing users’ motivation to pay for digital goods. Prior research has shown that a firm can best capture the heterogeneous product valuations of buyers through the implementation of a flexible payment model such as Pay What You Want (PWYW). In the digital goods context, where a user may choose to not pay for a good at all (i.e. pay zero), the use of an external reference price can motivate payment by anchoring one’s decision about the price to pay. This study tests the influence of the source and the level of reference prices on consumers’ willingness to pay in a controlled lab experiment with 868 participants, in the context of purchasing digital songs. We report the results of ANOVA analysis, t-tests and regression analysis and show that a low (high) reference price leads to a lower (higher) willingness to pay than a user’s internal reference price. Interestingly, when the reference price is determined by the site — when it represents the site’s recommended price — it increases one’s willingness to pay as compared to when the price is determined by a social group — when it represents the price paid by other users. Moderation effects are also reported.
本研究考察了不同来源设定的参考价格在影响用户购买数字商品动机方面的作用。先前的研究表明,企业可以通过实施灵活的支付模式(如Pay What You Want (PWYW))来最好地捕捉买家的异质产品估值。在数字商品环境中,用户可能选择不为某件商品付费(即零付费),使用外部参考价格可以通过锚定用户对支付价格的决定来激励他们付费。本研究通过868名参与者的对照实验室实验,测试了参考价格来源和参考价格水平对消费者购买数字歌曲意愿的影响。我们报告了方差分析、t检验和回归分析的结果,并表明低(高)参考价格导致用户的支付意愿比内部参考价格低(高)。有趣的是,当参考价格由网站决定时——当它代表网站的推荐价格时——相比于价格由社会群体决定时——当它代表其他用户支付的价格时,它会增加人们的支付意愿。适度的影响也被报道。
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引用次数: 1
Dynamic Pricing with Point Redemption 动态定价与积分兑换
Pub Date : 2018-03-01 DOI: 10.2139/ssrn.3143850
Hakjin Chung, Hyun-Soo Ahn, So Yeon Chun
Problem definition: Reward points function as a new currency that consumers can spend on products and services. We study how point redemption affects the seller’s day-to-day pricing and inventory decisions. Academic/practical relevance: Despite widespread use of point redemption, little has been done on its implication on the seller’s operational decisions. This paper extends the revenue management literature to incorporate the impact of point redemption and provides managerial insights on how the seller can factor point redemption into decisions about price and inventory. Methodology: We develop a choice model in which a consumer chooses to pay with cash or points based on the attributes of reservation price, point balance, and the perceived value of a point. We incorporate this choice model into a dynamic model where a seller adjusts the price along with redemption availability and the required point amount. Results: We show that the effect of point redemption on the seller’s price is nontrivial, as the optimal price tilts upward or downward to the reimbursement rate (the compensatory revenue for a reward sale) depending on the inventory level, time, and the reimbursement rate. Furthermore, such price adjustments can attenuate the optimal markup/markdown level, reducing the price fluctuation derived by a dynamic pricing policy in the absence of reward sales. We find that operationalizing reward sales with some discretionary policies (e.g., control over the reward availability or point requirement) can considerably increase the seller’s revenue. Managerial implications: Our results guide how sellers manage prices and inventory dynamically when consumers can redeem points for purchases. Specifically, we show that a seller can benefit from allowing reward sales even when the reimbursement rate is substantially lower than the cash price. Although the seller benefits from having full control over the required point balance, the greatest benefit can be realized via the control of reward availability.
问题定义:奖励积分是一种新的货币,消费者可以将其用于购买产品和服务。我们研究积分兑换如何影响卖家的日常定价和库存决策。学术/实践相关性:尽管积分兑换被广泛使用,但很少有人研究它对卖方经营决策的影响。本文扩展了收益管理文献,将积分兑换的影响纳入其中,并就卖家如何将积分兑换因素纳入价格和库存决策提供了管理见解。方法:我们开发了一个选择模型,在这个模型中,消费者根据预订价格、积分余额和积分的感知价值选择现金支付或积分支付。我们将这个选择模型整合到一个动态模型中,在这个模型中,卖家可以根据赎回可用性和所需的积分量调整价格。结果:我们表明积分兑换对卖家价格的影响是不微不足道的,因为根据库存水平、时间和偿还率,最优价格向上或向下倾斜到偿还率(奖励销售的补偿收入)。此外,这种价格调整可以减弱最优加价/降价水平,减少在没有奖励销售的情况下由动态定价政策引起的价格波动。我们发现,将奖励销售与一些自由裁量政策(例如,控制奖励可用性或积分要求)结合起来,可以显著增加卖方的收入。管理启示:我们的结果指导卖家如何管理价格和库存动态,当消费者可以兑换积分购买。具体来说,我们表明卖家可以从奖励销售中获益,即使偿还率大大低于现金价格。虽然卖家可以完全控制所需的点数平衡,但最大的好处可以通过控制奖励可用性来实现。
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引用次数: 6
Here Lives a Wealthy Man: Price Rigidity and Predictability in Luxury Housing Markets 这里住着一个富人:豪华住宅市场的价格刚性和可预测性
Pub Date : 2018-02-20 DOI: 10.2139/ssrn.3142656
Daniel Levy, Avichai Snir
We use novel and unique data to study the effect of price changes in the market for luxury and middle class homes. We find that luxury home sales respond less to price changes than the middle-class home sales; in the market for luxury homes, past prices affect current prices; luxury home prices persist; and prices of luxury homes are stickier than prices of middle-class homes. Recent macroeconomic models predict that housing markets can have counter-cyclical effect, if home prices are flexible. Our findings imply that home prices, especially luxury home prices, may not be flexible enough to generate such effect.
我们使用新颖而独特的数据来研究豪华和中产阶级住宅市场价格变化的影响。我们发现,豪华住宅销售对价格变化的反应小于中产阶级住宅销售;在豪宅市场,过去的价格会影响当前的价格;豪宅价格居高不下;而且豪华住宅的价格比中产阶级住宅的价格更具粘性。最近的宏观经济模型预测,如果房价灵活,房地产市场可以产生反周期效应。我们的研究结果表明,房价,尤其是豪宅价格,可能没有足够的灵活性来产生这种效应。
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引用次数: 2
Dynamic Online Pricing with Incomplete Information Using Multi-Armed Bandit Experiments 基于多臂强盗实验的不完全信息动态在线定价
Pub Date : 2018-02-13 DOI: 10.2139/ssrn.2981814
Kanishka Misra, Eric M. Schwartz, Jacob D. Abernethy
We propose an alternative dynamic price experimentation policy that extends multiarmed bandit (MAB) algorithms from statistical machine learning to include microeconomic choice theory.
我们提出了一种替代的动态价格实验策略,将统计机器学习中的多武装强盗(MAB)算法扩展到包括微观经济选择理论。
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引用次数: 104
Natural Instability of Equilibrium Prices 均衡价格的自然不稳定性
Pub Date : 2018-01-04 DOI: 10.2139/ssrn.3100363
Dmitry V. Levando, Maxim Sakharov
We develop a theory of market fluctuations caused by strategic trade with complete information and without outside shocks. The constructed general equilibrium duopoly is a strategic market game with infinite strategies and multiple mixed strategies equilibria. First order conditions (FOC) of the game are the ill-posed problems (Hadamard, 1909), but every equilibrium mixed strategy can be only approximated. This imposes restrictions on convergence of common beliefs of players about actions of each other, existence of rational expectations and a price discovery property of the market, although the market is informationally efficient (Fama, 1970). We suggest a modification of Tikhonov regularization to construct pseudo-solutions. All endogenous variables of the model are exposed to unremovable instabilities, ‘natural instabilities’, specific to parameters of a chosen approximation. Our result is also related to existence of common knowledge, sun-spot equilibrium, and noise trade.
我们建立了一个完全信息和没有外部冲击的战略贸易引起的市场波动理论。所构建的一般均衡双寡头垄断是一个具有无限策略和多个混合策略均衡的市场战略博弈。博弈的一阶条件(FOC)是不适定问题(Hadamard, 1909),但每个均衡混合策略只能近似。尽管市场是信息有效的,但这限制了玩家对彼此行为、理性预期和市场价格发现属性的共同信念的趋同。我们提出了对Tikhonov正则化的一种修改来构造伪解。模型的所有内生变量都暴露于不可消除的不稳定性,即“自然不稳定性”,特定于所选近似的参数。我们的结果也与常识的存在、太阳黑子平衡和噪声交易有关。
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引用次数: 1
Competition with Targeted Product Design: Price, Variety, and Welfare 有针对性的产品设计竞争:价格、品种和福利
Pub Date : 2018-01-01 DOI: 10.2139/ssrn.2458856
Miguel González-Maestre, Lluís M. Granero
We consider the price and welfare effects of competition in targeted product design, in the context of the Salop circle model. Changes in product design lead to demand rotations that set the stage for our analysis. With an exogenous number of firms, we show that the degree of targeted product design tends to increase with the number of firms. Moreover, under reasonable conditions, price-increasing competition takes place, for intermediate levels of the number of firms. This effect is associated with the possibility of lower consumer welfare. With endogenous firm entry, an interesting insight from our analysis is that in some situations an increase in market size or a technological progress that reduces entry costs both might reduce consumers’ welfare.
在Salop圈模型的背景下,我们考虑了目标产品设计中竞争的价格和福利效应。产品设计的变化导致需求的变化,这为我们的分析奠定了基础。在外生企业数量下,我们发现产品设计的针对性程度随着企业数量的增加而增加。此外,在合理的条件下,价格上涨的竞争发生在中间水平的公司数量上。这种影响与降低消费者福利的可能性有关。对于内生企业进入,我们的分析得出了一个有趣的见解,即在某些情况下,市场规模的增加或技术进步降低了进入成本,两者都可能降低消费者的福利。
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引用次数: 9
Two-Sided Centrality and Optimal Pricing of Two-Sided Platforms 双边平台的双边中心性与最优定价
Pub Date : 2017-12-15 DOI: 10.2139/ssrn.3135648
Yifei Zhang
We develop a two-sided centrality concept to measure the cross network externalities, and build this new concept into a monopolistic two-sided platform model. Two-sided centrality can be employed in characterizing the behaviors of marginal end-users. In this setting, the platform will take into account not only the end-users’ quantities but also the end-users’ heterogeneities in its optimal price setting.
我们提出了一个双边中心性概念来衡量跨网络的外部性,并将这个新概念构建为一个垄断的双边平台模型。双面中心性可以用来描述边缘终端用户的行为。在这种情况下,平台在制定最优价格时不仅要考虑最终用户的数量,还要考虑最终用户的异质性。
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引用次数: 0
期刊
ERN: Pricing (Topic)
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